Search
 

More Consumers Using Debit Cards for Recurring Transactions

PURCHASE, N.Y. - A survey by MasterCard International, the nation's second most popular card brand, has found that increasing numbers of consumers use debit cards tied to their checking accounts to pay recurring bills. "Consumers continue to embrace debit cards as a convenient, effective, hassle-free way to make purchases, access...

By Staff Writer | Updated on November 04, 2003

PURCHASE, N.Y. – A survey by MasterCard International, the nation’s second most popular card brand, has found that increasing numbers of consumers use debit cards tied to their checking accounts to pay recurring bills. “Consumers continue to embrace debit cards as a convenient, effective, hassle-free way to make purchases, access cash worldwide, and now increasingly to pay recurring bills,” said Richard G. Lyons, Jr., Senior Vice President with MasterCard International. “The noticeable rise in debit card recurring payments reflects the peace-of-mind in knowing that bills will be paid on time, via a fast and secure deposit account deduction, without added postage, handling or stressful check clearing delays.” The survey found that 26% of all U.S. households now link automatic payments to a debit card, a 30% increase since 2000. The survey also found that cardholders who adopted their cards in recurring transactions used their cards for almost half of their automatic payments and that 48% percent would consider using debit cards for additional recurring payments. Further, 62% of cardholders said they are less likely to change their financial institution relationship if recurring payments are linked to their debit card.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?

NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2025 ALM Global, LLC. All Rights Reserved.